UXTrades Review – 5 Signs you are Dealing with a Scam

UXTrades Review

Anyone who is shopping for a brokerage will quickly learn that scam operators are quite active in the space. There are lots of stories of people who were entrapped by these fraudsters and lost their money because they made the mistake of depositing with them.

It is extremely devastating to discover that you have made such a huge blunder and you do not want to experience this first hand. So, how do you go about avoiding such a scenario? You do your due diligence before opening an account with a broker because there will always be signs if they are a scam, as this UXTrades review shows.

While technology has certainly made it easier for scammers to set up websites and make them as professional as possible, they cannot hide the fact that they are fraudulent.

This will become apparent if you are diligent enough to check the claims they make in regard to their offerings and services. Once you do so, you can see if there are any indications that you are dealing with a fraud broker or a genuine one. It is the only way for you to avoid losses in the long run.

The primary reason why these scams are able fool people is because of the lack of diligence on the part of traders. You need to remember that criminals would never be upfront with you and they are going to tell you everything you want to hear to get you to trust them.

Thus, always take everything with a grain of salt and rely on your research alone to make your decision. This is what you should do in the case of UXTrades as well, which at first glance, seems like a broker that can offer you a reliable service.

But, when you do some due diligence, you will find that UXTrades is not offering anything new under the sun; it is the same scam recipe that you will find in plenty of other places. Here are 5 signs that show that UXTrades is a scam broker:

Lies about regulation

These days, everyone knows that you can only trust a regulated broker because this is monitored by a third-party authority and has to be compliant with established standards and policies.

This entails transparency, safety of funds, competitiveness and quality, none of which can be guaranteed in unregulated entities. Plus, statistics show that most scam brokerages tend to be unregulated, so it is more reason for you to avoid them.

When you check the regulatory status of UXTrades, you will come across some impressive claims. The broker says that it is governed by the laws of Bulgaria and the United Kingdom. The problem is that when you check the offerings of the broker, it is apparent that these are just lies because it is breaking the rules applicable in these jurisdictions.

First off, the regulatory authority in the UK is the Financial Conduct Authority (FCA) and their online register can be checked for UXTrades, but you are not going to find the broker.

In addition, you will find that the brokerage is offering trading bonuses, which have been banned in the UK as well as the European Union, which includes Bulgaria. Hence, it is not regulated in either country and is clearly lying about its regulation. No legitimate brokerage would ever lie; only a hoax would.

Malicious bonus policy

As mentioned earlier, there are trading bonuses offered at UXTrades and this is another sign of a scam because most legitimate brokerages avoid this practice now. These bonuses usually come with conditions and strings attached due to which they were banned in several jurisdictions by their respective regulatory bodies.

But, you will find that UXTrades is offering said bonuses and it does come with the conditions that got them banned in the first place. These are usually meant to exploit traders and prevent them from making withdrawals. A similar condition can be found in the bonus policy of UXTrades that makes it downright malicious.

It states that anyone who receives a bonus on UXTrades has to achieve a turnover of 25 times, which is impossible to achieve. Until you achieve it, you cannot withdraw your funds, which means there are no withdrawals because the task is impossible.

Lacking trading software

Another scam indicator that you will come across at UXTrades is that it offers a very basic web trading software that does not have much to offer. Most genuine companies will offer you market-leading software like MT4 and MT5, but you are not going to find that here.

The worst part is that UXTrades refuses to allow you to see the trading software before you make a deposit with them, which is not something a legitimate company would do. After all, you may want to check the software beforehand to ensure it is something you can use easily.

Poor trading conditions

The trading conditions that you come across at UXTrades don’t work in its favor either. It offers leverage ratios of about 1:40, which is against the rules of the FCA. It has imposed a cap of 1:30 on leverage that can be given to retail traders, but UXTrades is breaking the rules again and this is further proof that you are dealing with a scam.

Moreover, it does not even mention its spreads, which again means lack of transparency.

Misleading payment options

The fact that UXTrades advertises payments by credit cards is reassuring to many because it means that your deposits will be eligible for a chargeback in case of a problem. Thus, if you believe you are dealing with a scam, you can file for a refund. However, this turns out to be a lie because what UXTrades asks you to do is use your credit card to buy crypto.

When you try to make a deposit, you are taken to a website that asks you to use your card to make a crypto purchase that will be deposited. This means that UXTrades supports crypto payments, which are not eligible for a chargeback.

Bottom Line

These five signs make it evident that UXTrades is undoubtedly a scam broker that is up to no good.